Have you ever thought, “I would like to make a special gift, but I am worried about having income in my later years”? An annuity can be a simple answer.
A gift annuity is a simple one or two page contract that basically says that the donor (single or couple) will gift the charity a certain amount, and receive a percentage paid back annually for the rest of their life. It is usually a generous percentage, based on your age and a standard rate set by the government.
Minimum age: 55
Minimum gift amount: $20,000
Annuities can be immediate or deferred, as long as at the initial annuity payment date, the recipient is age 55 or older.
Charitable Gift Annuity
How It Works
- Transfer cash or other property to FSCDENA
- FSCDENA agree to make payments for the life of one and up to two annuitants (payments are backed by our entire assets)
- Upon the death of the donor, the balance remaining becomes a gift to the Christian Brothers
- Immediate Federal income-tax deduction for a portion of your gift
- Amount of gift is no longer included in calculations of your net worth
- Payments for life that are favorably taxed
- When gift is funded with cash, part of payment will be tax-free
- When gift is funded with appreciated property, part will be taxed as capital gain, part will be tax-free, and part will be taxed as ordinary income
- Gift will provide generous support for the Christian Brothers
- Contact us to learn more about this gift plan or other options
- Receive a personal calculation of this gift
Pointer: The charitable gift annuity is especially rewarding if funded with appreciated long-term securities that generate little or no income. If you transfer such securities to the Christian Brothers in exchange for a charitable gift annuity, you will avoid a significant amount of capital-gain taxation and any remaining capital gain will be reported in prorated amounts over the life (or lives) of the beneficiary(ies).
This document provides general information only. We suggest that you always include your own advisors before making financial decisions. Brothers of the Christian Schools, DENA is not engaged in the practice of Law.